HONG KONG, Dec 17: Asian stocks closed sharply lower on Monday over worries that rising inflation had cut the chances of more US interest rate cuts despite a debilitating credit crunch.
The region’s bigger markets were among the worst hit, including a 1.71 per cent slide in Tokyo.
The US central bank has been cutting interest rates in an effort to stave off an economic downturn following a credit crunch, but the data raised fears it may have to keep rates up to battle inflation.
TOKYO: Japanese share prices closed down 1.71 per cent at a near three-week low on concern that simmering inflation may limit the scope for further US interest rate cuts, dealers said.
The Tokyo Stock Exchange’s benchmark Nikkei-225 index dropped 264.72 points to 15,249.79, the lowest close since November 28.
The broader Topix index of all first-section shares lost 28.55 points or 1.90 per cent to 1,472.70. Turnover declined to 1.78 billion shares from 2.82 billion on Friday.
HONG KONG: Hong Kong share prices slumped 3.51 per cent by the close of trade amid Asia-wide stock market weakness over concerns that rising inflation could halt US interest rate cuts, dealers said.
The Hang Seng index closed down 967.06 points at 26,596.58, off a low of 26,551.37 and a high of 27,245.51. Turnover was 104.44 billion Hong Kong dollars (13.39 billion US).
SYDNEY: Australian share prices closed down 3.5 per cent to their lowest level in three months in response to Wall Street falls and a retreat in base metal and commodity prices, dealers said.
The benchmark S&P/ASX 200 lost 228.2 points to end the day at 6,263.5, its lowest close since September 18, while the broader All Ordinaries shed 224.3 points or 3.4 per cent to finish at 6,331.8.
Volume traded was two billion shares worth about 6.75 billion dollars (5.82 billion US).
SINGAPORE: Singapore share prices slumped 3.25 per cent on worries of reduced scope for interest rate cuts in the US because of inflation, dealers said.
The main Straits Times Index fell 112.82 points to 3,353.56. Volume traded totalled 1.36 billion shares worth 1.75 billion Singapore dollars (1.22 billion US).
Official figures showed a surprise 3.4 per cent fall in Singapore’s main exports in November.
KUALA LUMPUR: Malaysian share prices closed down 0.8 per cent as investors sold stocks across the board amid renewed concern over the outlook for the US economy, dealers said.
The Kuala Lumpur composite index was down 11.80 points at 1,391.61 on volume of 719 million shares valued at 1.4 billion ringgit (420 million dollars).
JAKARTA: Indonesian share prices closed 2.7 per cent lower in line with regional markets, dealers said.
The Jakarta composite index closed down 75.14 points at 2,664.92 on volume of 3.12 billion shares worth 5.49 trillion rupiah (593 million dollars).
Telkom lost 350 to 10,050 rupiah, Astra International fell 900 to 26,550, Bank Rakyat Indonesia dropped 250 to 7,550 and coal giant Bumi Resources shed 150 to 5,750.
The stock market will be closed for public holidays from Thursday to Tuesday.
WELLINGTON: New Zealand share prices closed 1.15 per cent lower following a sharp decline in Australian and US stocks, dealers said.
The benchmark NZX-50 index fell 46.04 points to 3,962.62 on turnover worth $129.0 million (US$100.3 million).
You’re in the face of strong currency, high interest rates and you’ve still got global uncertainty, Nigel Scott of ABN Amro Craigs said.
MUMBAI: Indian share prices closed down 3.84 per cent amid Asia-wide market worries over reduced scope for US interest rate cuts, dealers said.
The benchmark 30-share Sensex fell 769.48 points or 3.84 per cent to close at 19,261.35, off the day’s low of 19,177.19.
The markets collapsed after a sharp run-up recently as overseas funds sold stocks which had risen smartly in previous weeks, said Atul Mehra, capital markets head at brokerage J.M. Financial.—AFP
Dear visitor, the comments section is undergoing an overhaul and will return soon.